Parental income
The parental income test
Entitlement to Student Allowances for students who are under 24 years old with no supported children, is assessed on their parents' income.
Parental income is assessed over the relevant tax year.
Definition
Parental income is the income that the parents' of a student have access to in order to support themselves and their family.
In Budget 2010, the Government made a number of decisions designed to improve the integrity of the social assistance system.
This included expanding the 'taxable income' definition used for the parental income test for Student Allowances to align with the definition of Family Scheme Income in the Income Tax Act 2007 (with some differences, parental income does not include Child Support payments, amounts derived by dependent children, or foreign sourced income for a parent's partner).
This definition of parental income for Student Allowances purposes applies to study starting on or after 1 January 2012.
For information on types of income included as parental income see:
For information on types of income not included as parental income see:
Parental income information is confidential
Parental income information belongs to the parents, not to the student. Some parents do not want the student to know any details of their income.
For more information see:
To help calculate the rate payable, you can use the calculator below:
Legislation
- family scheme income (definition) regulation 2(1) Student Allowances Regulations 1998
- parental income (definition) regulation 2(1) Student Allowances Regulations 1998
- Assessment of parental income and spousal or partner's income regulation 4 Student Allowances Regulations 1998
- Some definitions for family scheme section MA 8 Income Tax Act 2007
